Atari May Be Up for Players in Stock Market
Created 08/11/2003 - 23:00
Atari Inc. (Nasdaq: ATAR) has filed a registration statement with the Securities and Exchange Commission for a proposed offering of $125 million of common stock. In the proposed offering, shares will be sold by Atari and by Infogrames Entertainment, S.A., which owns approximately 88% of the outstanding Atari shares. Atari and Infogrames will grant the underwriters an option to purchase additional shares of its common stock valued at up to $18.75 million to cover over-allotments.
Atari's net proceeds from the offering are expected to be used to repay indebtedness outstanding under its credit facility with GE Commercial Finance's Corporate Lending Business, to meet general working capital needs, to pay costs of developing videogame software as well as possibly to acquire more companies involved in the development or production of videogames. The GE credit facility will remain in effect after the closing of the offering.
Atari is a leading global publisher and developer of video game software for both gaming enthusiasts and the mass market audience.
When available, a prospectus relating to these securities may be obtained from UBS Securities LLC, 299 Park Avenue, New York, New York 10171-0026, or phone (212) 821-3000.